The proposed redevelopment of Rozelle Bay, as part of Bays West will see up to 3,000 new and diverse homes, including a proportion of affordable housing. To support the opening of the Bays Station, 1,000 of these homes will be delivered for 2032 — ensuring young people, families and rightsizers have somewhere to live minutes from work, schools, healthcare and local amenities.
A new pedestrian underpass will connect Rozelle Bay to The Bays Station, which forms part of the Sydney Metro West Project. When the new Metro West line opens in 2032, commuters will be able to travel from The Bays Station to Hunter Street in 5 minutes and to Parramatta in less than 20 minutes.
The precinct will offer a mix of housing options to support a diverse community. It will open a significant portion of Rozelle Bay to the public, delivering an activated public domain with 1km of accessible foreshore that enables the creation of a 5km harbour foreshore loop connecting Rozelle Bay with Glebe, the new Sydney Fish Market, and Pyrmont.
GETTING AROUND
A new pedestrian underpass will seamlessly connect Rozelle Bay to The Bays Station providing increased accessibility and connectivity for the community.
The redevelopment will open 1km of public foreshore and create Sydney’s next great foreshore walk — a ~5km loop connecting Rozelle Bay with Glebe, the new Sydney Fish Market and Pyrmont.
Streets and open spaces will prioritise walking and cycling, creating a neighbourhood that moves with ease and is safe, green, and active.
PUBLIC SPACES
Through the proposed redevelopment, Rozelle Bay will be unlocked for the public, offering a connected, waterside location with a generous public realm and high-quality public spaces designed for health, recreation, and lifestyle. For future residents and the existing community, this will provide a calm, connected harbourside sanctuary and an active waterfront life, moments from the CBD.
The precinct will reflect the unique spirit and character of the Inner West, celebrating Rozelle Bay’s local identity and maritime heritage through distinctive architecture and thoughtfully designed public spaces.
LOCATION
A harbourside neighbourhood connected by metro, water, and a 5km foreshore walk that loops from Rozelle Bay to the Sydney Fish Markets and back.
GOVERNMENT VISION
In March 2026, the NSW Government announced the redevelopment of Bays West, inclusive of Rozelle Bay as Sydney’s first new inner-city suburb in decades, delivering up to 8,500 homes alongside the new Bays West Metro Station, with at least 10% set aside for affordable and essential worker housing.
Lendlease’s proposal for up to 3,000 homes would deliver more than 35 per cent of the 8,500 homes planned for the broader Bays West precinct.
The precinct will feature new housing, public open space, and waterfront access for the first time in over 100 years, alongside cultural and night-time economy uses centred on a revitalised White Bay Power Station. Strong walking, cycling, ferry, and metro connections will link the area to surrounding suburbs and the CBD. Bulk port operations on Glebe Island will cease by 2030, with working harbour activities consolidated mainly at White Bay.
The project aims to address Sydney’s housing shortage by delivering homes close to jobs, transport, and public space, while balancing renewal with the preservation of Sydney Harbour as both a working and living harbour.
This recent announcement follows the NSW Government’s December 2023 announcement of Bays West as one of NSW’s eight Transport Oriented Development (TOD) Accelerated Precincts, which are priority high-growth areas across Greater Sydney selected because of their proximity to future metro stations and major public transport links.
YOUR QUESTIONS
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What is being delivered as part of the proposed development?
Subject to approvals, the proposed Rozelle Bay Redevelopment will deliver up to 3,000 new and diverse homes including a portion of affordable housing, public open spaces, a pedestrian underpass to The Bays Station, walking and cycling connections, and revitalised waterfront areas.
Together, these homes would deliver ~ 35% of the NSW Government’s target for up to 8,500 homes across the broader Bays West precinct.
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Is Lendlease working with Government on a proposal for Rozelle Bay?
Lendlease is working collaboratively with the NSW Government to explore how best to deliver much-needed homes, enhanced public connections and significant community benefits at Rozelle Bay, aligned with the Government’s vision for Bays West.
We have submitted an Unsolicited Proposal (USP) to the NSW Government proposing the redevelopment of Rozelle Bay and that proposal is at Stage 2 of the process.
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What is a USP?
An Unsolicited Proposal is an approach to Government from a Proponent (Lendlease) with a proposal to deal directly with the Government over a commercial proposition, where the Government has not requested the proposal. A USP is subject to assessment against an established criteria.
You can read about USPs here: https://www.nsw.gov.au/nsw-government/engage-us/unsolicited-proposals
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Where are you up to in the USP process?
We have submitted a Stage 1 proposal which has undergone comprehensive initial assessment in line with the formal USP process.
This proposal was considered suitable for progression to Stage 2. During Stage 2, we are required to develop a Detailed Proposal.
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When does the USP process conclude?
Following Stage 2, the USP may move to Stage 3 where detailed contracts are agreed. Once contracts are agreed and approvals obtained, the USP will culminate in a Development Agreement for the redevelopment of Rozelle Bay. This process is subject to rigorous assessment and approvals by Government at each step.
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What about the planning process?
A masterplan, rezoning, and subsequent development applications will be required to deliver the redevelopment. The exact planning process will be agreed with the NSW Government in parallel to Stage 2 of the USP process. Lendlease will work closely with the NSW Government, Inner West Council, and the community to seek required approvals and to ensure community consultation.
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Will I get a chance to input into the project’s design and features?
Community consultation is an important part of the planning process, and we want to hear about what is important to the community. Pending the outcome of the USP process, we will let you know when there is opportunity to have your say – we encourage you to register your interest for future updates below.
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How will this project benefit the wider city and community?
Subject to approvals, the project will deliver:
• Up to 3,000 new and diverse homes at Rozelle Bay, including a proportion of affordable housing.
• A pedestrian underpass, connecting the proposed development to The Bays Station.
• More green and open spaces including accessible public foreshore that will enable a harbour foreshore loop.
• Local job opportunities. -
Will there be affordable homes?
We acknowledge that the NSW government announced on 3 March 2026 that a minimum of 10% affordable housing will be delivered across the Bays West precinct.
The portion of affordable housing to be delivered at Rozelle Bay is subject to Stage 2 negotiations. -
What will happen to the working harbour and existing tenants at Rozelle Bay?
The NSW Government announced on 3 March 2026 that working harbour operations across Bays West will be consolidated, mostly into White Bay, ensuring the precinct will continue to provide critical services for the harbour, including boat maintenance and marine construction and as a base for tug boats and for emergency services.
The Sydney Heritage Fleet will also be offered new premises in White Bay.
In relation to Rozelle Bay specifically, Lendlease envisages a commercial marina being retained on the site, as compatible with the overall masterplan for Bays West.
Lendlease will work with Government to consult all tenants and occupiers, manage transitions and provide support where required.
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Who do I contact for questions about the project design and planning process?
As this is a USP, the proposal is conceptual and therefore there is limited information to share at this time. As the project progresses with early planning and design, Lendlease will carry out full community consultation activities giving you the opportunity to have your say.
If you have any questions in the meantime, please contact the team here.
STAY INFORMED
As the project progresses, we’ll share updates on key milestones, planning steps and opportunities to have your say.
Please keep in touch with us via rozellebay@lendlease.com and register for updates below.
Acknowledgment of Country
Rozelle Bay is located on the lands of the Wangal and Gadigal peoples of the Eora Nation, who have cared for Country for thousands of generations. We recognise the deep cultural significance of this area and are committed to embedding First Nations voices and expertise throughout the design and consultation process. This includes ensuring that cultural storytelling, connection to Country, and Indigenous knowledge systems are reflected meaningfully across the precinct.